China economy weakens further in May as retail sales post first drop in over three years

China's retail sales fell in May for the first time in more than three years, while urban investment contracted more than expected. The data point to a deeper economic slump and weaker consumer demand, raising concerns about broader growth momentum in China. The release is likely to weigh on China-sensitive sectors and emerging markets sentiment.

Analysis

China's retail sales fell in May for the first time in more than three years, while urban investment contracted more than expected. The data point to a deeper economic slump and weaker consumer demand, raising concerns about broader growth momentum in China. The release is likely to weigh on China-sensitive sectors and emerging markets sentiment.